The cloud-enabled credit risk suite helps prevent possible frauds, says Vaidhyanathan
BCT Digital, a global Fintech company specializing in regulatory technologies, has launched its specialized Cloud-Ready rt360 Credit Risk Suite to empower banks, NBFCs, and HFCs to quickly implement the product and immediately gain control over their asset book.
Their award-winning rt360 EWS (Early Warning System) is now an integral component of the cloud-ready credit risk suite, said BCT in a release on 26 May 2021 from Mumbai.
The full-stack credit risk suite includes origination & on-boarding, credit monitoring, fraud monitoring, credit analytics, and other value-added services – all on the cloud.
The cloud-ready product can now empower banks, NBFCs, and HFCs to quickly implement the product and immediately gain control over their asset book. The product is equipped to handle millions of data points through sophisticated AI/ML-based predictive models to detect patterns and quantify risks.
While Indian banks reported a decline in bad loans in the last quarter of 2020, the impact of the extended pandemic situation may have major ramifications on the asset quality over the next two to three years. To tackle the situation, financial institutions need to invest in disruptive technologies to enable high asset quality through proactive and accurate risk detection and improve regulatory compliance.
“The severe disruption caused by the pandemic has created an urgency for financial institutions to monitor and take corrective measures on time to mitigate the impact of credit risks. Though public sector banks have preferred an on-premise solution, it is our constant endeavor to construct robust technologically advanced systems that empower not just the large banks but also smaller financial institutions to enhance their risk management capabilities,” said Jaya Vaidhyanathan, CEO, BCT Digital.
“Cloud readiness will help these banks be compliant with RBI and DFS regulations on credit risk in 90 days. This will help them to mitigate the risk of bad loans and also enable them to reach their financial inclusion goals benefitting the MSMEs and retail segments as well. The cloud-enabled credit risk suite will build a future-ready and resilient organization by preventing possible frauds through real-time data,” said Vaidhyanathan.
The rt360 Credit Risk Suite addresses concerns of risk practitioners in banks and other financial institutions involved in lending and investment decisions relating to building the banking book. It enables lenders and portfolio managers to have tighter control over their asset book at any point in the credit lifecycle, through various business services, such as the rt360 EWS, that are available in a highly modular form.
The cloud-ready rt360 – EWS is designed using state-of-the-art micro-services-based open API architecture, comes with connectors and automated data capturing mechanisms in real-time. These integrate with the internal and external sources to extract millions of data points on customers through means such as APIs and streaming feeds in addition to legacy methods.
Sophisticated AI, ML models detect fraud patterns, minimize false positives and quantify risks through effective scoring algorithms that compute critical default statistics. The pre-built and extensible library of early warning indicators include regulator-prescribed indicators such as RBI’s RFA and the Department of Financial Services scenarios for India.
Alerts including those of fund diversion, negative news, and financials are sent to a configurable mobile responsive inbox. Bankers can leverage rt360 EWS’s powerful case management to manage alerts as per the escalation hierarchy for timely corrective action. The cloud-ready rt360 Credit Risk Suite enables financial institutions to focus on profitable credit growth while mitigating risk.
BCT Digital focuses on the risk management and regulatory needs of the banking and finance sector (BFSI), on a global scale. The core of BCT Digital’s offerings lies in the ability to identify gaps and building solutions that are both specifically suited to India and yet scalable to the global markets. BCT Digital, a niche player in the RegTech arena, adopts emerging technologies to enable financial institutions to mitigate risks, ensure liquidity and improve customer engagement.
The ‘rt360’ recently won the ‘Rising Star Award’, presented by Chartis Research – a leading provider of research and analysis on the global market for risk technology. #technology #investment #banking #fintech /fiinews.com
